The Official SaaStr Podcast: SaaS | Founders | Investors
SaaStr 709: 15 Signs You Have A SaaS Metrics Problem (and How to Fix it) with Dave Kellogg, EIR at Balderton Capital
Dec 19, 2023
In this episode, Dave Kellogg, EIR at Balderton Capital, discusses the complexities of SaaS metrics and the potential pitfalls of their misinterpretation. Topics include signs of a metrics problem, misleading metrics in board meetings, understanding confidence interval in revenue forecasting, aligning metrics with strategic goals, and linking strategy and leading indicators in SaaS metrics.
34:06
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Quick takeaways
- SaaS metrics should be used accurately and transparently to truly understand and address problems, avoiding the abusive and misleading use of metrics as a tool of oppression.
- The foundation of trust in SaaS metrics requires clear definitions, calibrations, and agreed semantics, along with comprehensive data templates and systematized processes to ensure accuracy and reliability.
Deep dives
Problematic Use of SaaS Metrics
One of the main issues highlighted in the podcast is the abusive and misleading use of SaaS metrics. The speaker discusses how some companies use metrics as a tool of oppression, bludgeoning people with numbers and not using them as a tool of understanding or improvement. They also mention how misleading tactics such as cherry-picking numbers or using undefined terms can create a false narrative. The speaker emphasizes the importance of metrics being used accurately and transparently to truly understand and address problems.
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